Press release August 24, 2022

Press release (PDF)

• Acquisition of 13 new residential properties in attractive locations
• Growth of real estate portfolio to CHF 715.1 million, +43% compared to year-end 2021
• Actual rental income p.a. of CHF 25.1 million as of June 30, 2022
• Rental income of CHF 11.0 million, compared to CHF 4.7 million in H1 2021
• Total fund assets grow to CHF 727.0 million, +41% compared to year-end 2021 
• Net asset value per unit at CHF 113.05 as of June 30, 2022

Details on the frist half of 2022
In the first half of 2022, the fund management of the Helvetica Swiss Living Fund was able to carry out a heavily oversubscribed capital increase with proceeds of CHF 125.6 million. With the inflow of capital, 13 additional residential properties in attractive locations with a market value of CHF 210 million could be acquired. The market value of the real estate portfolio as of June 30, 2022  increased to CHF 715.1 million, which represents an increase of approximately 43% compared to year-end 2021 (31.12.2021: CHF 500.8 million). The portfolio now includes a total of 54 properties with 1,630 apartments.

Income statement
As a result of the further portfolio growth, rental income increased by 135% to CHF 11.0 million in the reporting period 2022 compared to the first half of 2021 (June 30, 2021: CHF 4.7 million). In the reporting period ending June 30, 2022, the annual actual rental income was around CHF 25.1 million, an increase of CHF 6.8 million from CHF 18.3 million at the end of the previous year. Since the beginning of the year, 126 apartments have been newly leased, which has contributed to the occupancy rate remaining stable at 94.9%. The properties newly added to the portfolio also have a high re-letting potential and contribute to quality enhancement and open up additional sources of income. 

Net income increased to CHF 8.9 million in the first half of 2022 (30.06.2021: CHF 3.5 million). The valuation of the property portfolio by the independent valuation expert resulted in an unrealized capital gain of CHF 4.1 million (30.6.2021: CHF 2.7 million). The total profit for the first half of 2022 thus amounted to CHF 11.6 million (30.6.2021: CHF 5.7 million). 

Balance sheet
Total fund assets as of June 30 amounted to CHF 727.0 million (31.12.2021: CHF 516.3 million). After deduction of liabilities of CHF 289.1 million (31.12.2021: CHF 203.1 million) and estimated liquidation taxes of CHF 3.9 million (31.12.2021: CHF 2.4 million), net fund assets reached a value of CHF 434 million (31.12.2021: CHF 310.1 million). The net asset value per fund unit as of June 30 was CHF 113.05. The real estate portfolio worth CHF 715.1 million is broadly diversified and comprises 54 properties. Geographically, around 90% of the portfolio is located in German-speaking Switzerland, with the remaining 10% spread across southern and western Switzerland.

Outlook
In the second half of the year, the fund management aims to further expand the portfolio in line with its investment strategy. The purchase agreement for a property with 48 apartments in Biel was already notarized in June at a price of CHF 16 million. The transfer of ownership is planned for the fourth quarter of 2022. Thanks to the continued high demand for residential space, the occupancy rate is also expected to rise again in the second half of the year. To further increase rental income and enhance the attractiveness of the portfolio, building potential is also to be seized in the medium term. Future growth steps will be critically analyzed and investments will only be considered if yields remain in line with the market. If market terms and conditions continue to develop favorably, a further capital increase will be reviewed. 

An attractive distribution is also expected for the 2022 financial year.

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¹⁾ The key figures were calculated in accordance with AMAS "Fachinformation Kennzahlen von Immobilienfonds" dated September 13, 2016 (as of May 31, 2022).
²⁾ If the rent reductions were taken into account, the rent default rate would be 6.03%

The Helvetica Swiss Living Fund semi-annual report is available on the fund management company's website or also on Swiss Fund Data.

All media releases can also be found at https://www.Helvetica.com
 

About Helvetica
Helvetica Property Investors AG is a leading real estate fund management company and asset management firm. We deliver sustainable value to our clients through active, long-term ownership of safe and stable real estate investments. With a fully integrated real estate investment platform, we are able to provide both standardized investment products and customized investment plans. We are proud of our longstanding reputation for outstanding client service and dedication to responsible ownership. Our firm is approved and regulated by the Swiss Financial Market Supervisory Authority FINMA.

Zurich, August 24, 2022 – The Helvetica Swiss Living Fund (HSL Fund) was able to expand its real estate portfolio by 13 high-quality residential properties with a total value of CHF 210 million in the first half of 2022. As of the end of June 2022, it now consists of a total of 54 properties with 1,630 apartments and a market value of CHF 715 million.

About Helvetica Swiss Living Fund
The HSL Fund is a Swiss real estate fund open exclusively to qualified investors. The HSL Fund invests in residential real estate throughout Switzerland, primarily where regional and national economic centers are easily accessible. The investment focus of the fund is on older and newer properties with stable and sustainable revenues. The investment objective is primarily to preserve the fund's long-term value and to distribute reasonable profits. The fund share units can be traded over the counter. The HSL Fund is approved by the Swiss Financial Market Supervisory Authority, FINMA.

Ticker Symbol HSL; Valor 49 527 566; ISIN CH0495275668

Disclaimer
This press release does neither constitute an issuance prospectus in the sense of art. 652a or art. 1156 of the Swiss Code of Obligations nor a prospectus, a simplified prospectus or a basic information leaflet (key investor information document; KIID) in the sense of the Swiss Act on Collective Investment Schemes. It constitutes neither an offer nor a recommendation to subscribe to or redeem fund units but is intended solely for information purposes. Historical performance is not a guarantee of current or future performance. The performance data does not take into account any commissions and costs charged on the subscription and redemption of shares. The documents that are solely relevant for an investment decision, the prospectus and the simplified prospectus, can be obtained from Helvetica Property Investors free of charge. This press release is not addressed to persons resident and/or incorporated outside Switzerland. It may not be made available or handed over to US persons within the meaning of the US Securities Act or US tax regulations, nor may it be distributed in the US.